Oct.4th, the House Committee on Education and the Workforce began markup of H.R. 3441, the Save Local Business Act. If passed, the legislation would address the National Labor Relations Board’s expanded definition of the joint-employer standard.
The NLRB dramatically expanded the definition in 2015 to include indirect and potential control of employees, overturning three decades of labor law and creating confusion for restaurants and other small businesses. As a result, small businesses like restaurants could be held liable for the actions of other companies simply because they do business with them.
We’ve been working with Congress to pass this legislation to restore clarity and fairness for restaurants and other small businesses. The lead champion on this issue is Chairman Bradley Byrne (R-Ala.), who heads up the Subcommittee on Workforce Protections in the House Committee on Education and the Workforce. He is the author of H.R. 3441.
“...Two completely separate employers can be considered joint employers if they make a business agreement that indirectly or even potentially impacts employees. Those are certainly vague terms. So vague, that many lawyers may not even agree on exactly what they mean. But we know that the real world impact has been confusion, uncertainty and growing legal jeopardy.”
— Chairman Bradley Byrne (R-Ala.)
In today’s markup, Chairman Byrne specifically brought up the impact joint employer could have on a restaurant in his district.
Restaurants across the country have taken to their local newspapers to let lawmakers know why they need to restore the joint employer standard.